UPS to reduce workforce in Spain

UPS plans to reduce its 1,100 workforce in Spain by 216 jobs.

UPS Spain had revenues of €169 million in 2006 and made a small operating loss in that year.

The company has unveiled a restructuring plan for its depot at Vallecas, in Madrid, with the loss of 183 jobs there. UPS wants to close down Vallecas and transfer the business to its larger and newer facility in the district of Coslada, according to daily newspaper Cinco Días.

The restructuring plan is not linked to the worsening economy or a downturn in business but is part of a reorganisation designed to improve the company’s competitiveness in the Spanish market, UPS officials stressed. Drivers at Vallecas are UPS employees at higher wage levels rather than self-employed contractors, as is usually the case with the company, the newspaper pointed out.

According to reports earlier this year, UPS originally wanted to reduce its Spanish workforce by about 230 staff. Some 35 administrative staff have already moved jobs in recent months, however. UPS had offered unions at Vallecas talks over a social plan for the facility but they rejected this, prompting it to present a formal restructuring plan.

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